Energy Savings and Industrial Competitiveness Act of 2013

Floor Speech

Date: Sept. 18, 2013
Location: Washington, DC

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Ms. KLOBUCHAR. Mr. President, I thank the Senator from Maryland for her beautiful remarks on behalf of her constituents and their families. Our thoughts and prayers are with the families. I also thank her for her thoughts on some of the policy ramifications that come out of the terrible tragedy. I know the Senator stands by those families as she has stood by so many military families in the State of Maryland.

I ask unanimous consent that Senator Brown follow me after my remarks.

The PRESIDING OFFICER. Without objection, it is so ordered.

Ms. KLOBUCHAR. Mr. President, I rise today in support of the Energy Savings and Industrial Competitiveness Act of 2013.

I believe the beneficial role that energy efficiency improvements can have for consumers and also for industrial competitiveness often gets overlooked in today's debate about energy policy. When I travel around my State I am always hearing from businesses and manufacturers about the importance of keeping energy affordable. That is why it is so important we are having this debate and that we are looking at taking real steps on meaningful energy legislation.

This legislation will help consumers save money on their utility bills and help our businesses be more competitive. Minnesota has long been an example of leadership in energy policy, with the 25 by 25 renewable energy standard. Our largest energy provider, Xcel Energy, agreed to a 30-percent standard by 2020. So we have been one of the leading States in a bipartisan way. This bill was signed by Governor Pawlenty, then-Governor Pawlenty, with strong bipartisan support in our State legislature. I would say it was also as a result of other things, but I would say it certainly has not hurt our economy. We have one of the lowest unemployment rates. We are at 5.2 percent. It came out today the Twin Cities had its biggest year in the last year of any year in terms of economic gain.

Minnesota is also leading the way with a 1.5-percent energy efficiency standard. Each year our utilities work with consumers and businesses to find ways to save energy and reduce waste from energy efficiency improvements, much like those contained in the Shaheen-Portman bill.

I believe we need an ``all of the above'' plan to get serious about building a new energy agenda for Minnesota, a plan that helps businesses compete in the global economy, preserves our environment, and restarts the engine that has always kept our economy going forward; that is the energy of innovation.

Although Senators may differ on the specific details of an ``all of the above'' energy plan, I believe we can find broad agreement that energy efficiency, as we see in this bill, must be a part of any plan. Senators Shaheen and Portman have produced a very good bill that I strongly support, but I also know there are many good ideas, many of them bipartisan, that promote energy efficiency, and I thank them for the opportunity to build on their legislation to boost energy efficiency.

One goal that I share with my friend and colleague from North Dakota Senator HOEVEN was to find new opportunities to engage the nonprofit community in making energy efficiency improvements.

I spoke briefly on the Senate floor earlier in the week about this important issue. When faced with the choice, nonprofits including hospitals, schools, faith based organizations and youth centers often make the decision to delay or forgo improvements in energy efficiency to help stretch budgets and serve more people.

But we know investing in energy efficiency improvements today can lead to savings over time that go beyond the cost of the initial investment. So it is a difficult question. Should we do a little less for a year or two so that upgrades can be made to our heating system so that we can use the long term savings to protect our ability to serve well into the future?

That is why I introduced the Nonprofit Energy Efficiency Act as an amendment with Senator HOEVEN, and we have the support of Senators BLUNT, PRYOR, RISCH, SCHATZ, and STABENOW.

Our amendment, which is fully offset, would provide $10 million each year for the next 5 years to create a pilot grant program so that non-profits can save through energy efficiency. We worked with stakeholders to ensure that grants will achieve significant amounts of energy savings and are done in a cost effective manner. The grants would require a 50 percent match so that there is complete buy in from the nonprofits, and grants would also be capped at $200,000.

Our amendment has the support of National Council of Churches, the YMCA of the USA, and the Union of Orthodox Jewish Congregations.

I ask unanimous consent that these letters of support for the Nonprofit Energy Efficiency Act be included in the RECORD.

I again thank Chairman WYDEN and Ranking Member MURKOWSKI as well as Senator SHAHEEN and Senator PORTMAN for their tireless efforts to move this important legislation forward.

I urge my colleagues to support the Klobuchar-Hoeven amendment, the Nonprofit Energy Efficiency Act, and also support the underlying Shaheen-Portman legislation.

I want to raise another important energy issue that I have worked on this year that impacts nearly every family, business, and industry in America--and that is the price of gasoline.

This past May in Minnesota in just one week we saw gas prices spike 40 cents higher per gallon and over 80 cents higher over the course of one month.

We know that this sharp spike in prices was caused when a number of refineries that serve Minnesota and the region went offline for both scheduled and unscheduled maintenance, in part to prepare for summer fuel blends.

I understand the need to adjust for seasonal gasoline blends and perform upgrades to protect worker safety and make necessary repairs. But scheduled, routine maintenance should not be an excuse for major gasoline shortages and steep price spikes.

Gas prices in Minnesota have subsided after setting records this spring of over $4.25 a gallon, but we know refinery outages will continue to have significant impacts, disrupting commerce and hurting consumers, small businesses and farmers if we do not act.

That is why I introduced the Gas Price and Refine Capacity Relief Act of 2013 with Senators HOEVEN, FRANKEN, and DURBIN. Our bill requires refineries give advance warning of any planned outage and immediate notification for any unplanned outage.

This information would serve as an early warning system and protect consumers from paying the price at the pump when there are production problems within the refining industry. With more transparency--and more lead time--fuel retailers will have the opportunity to purchase fuel at prices that better reflect the underlying costs of crude oil and better reflect supply and demand across the country.

When we had this recent increase you couldn't explain it by supply and demand. We had ample supplies. Demand was down. The only reason we could find, besides perhaps speculation, was these refineries that had planned closures. What we are trying to do is create an early warning system and I appreciate the bipartisan support for this bill.

The bill would also require the Secretary of Energy look at the potential for additional refined fuel storage capacity in our region. Minnesota has less storage capacity for refined products than other parts of the country and that makes us more vulnerable to the kinds of refinery outages we've experienced this year--both planned and unplanned--that led to dramatic spikes in the price of gas.

I thank Chairman WYDEN for holding a hearing on this issue in July. Although this amendment will not come up for a vote as a part of the bill being considered by the Senate, I look forward to continue working on this issue so we can prevent another unnecessahttp://thomas.loc.govry spike in gas prices like we saw in Minnesota this spring.

Most people wouldn't tie the last issue I wish to discuss today to energy policy. But just ask any power company or construction crew across the country, or even operators of ice skating rinks in Minnesota and you would quickly learn about the growing national problem of metal theft and it must be addressed.

I have filed my bipartisan bill, the Metal Theft Prevention Act, to the energy efficiency bill to bring attention to metal theft. I introduced it last February with Senators HOEVEN, SCHUMER, GRAHAM, and COONS.

The bill is the much-needed Federal response to the increasingly pervasive and damaging crime of metal theft.

Metal theft has jumped more than 80 percent in recent years, hurting businesses and threatening public safety in communities throughout the country. Metal theft is a major threat to American businesses, especially to power companies. In a recent study, the U.S. Department of Energy found that the total value of damages to industries affected by the theft of copper wire is approximately $1 billion each year.

Across the country, copper thieves have targeted construction sites, power and phone lines, retail stores, and vacant houses. They've caused explosions in vacant buildings by stealing metal from gas lines, and they've caused blackouts by stealing copper wiring from streetlights and electrical substations. Thieves are even taking brass stars from our veterans' graves. On Memorial Day in 2012, thieves stole more than 200 bronze star markers from veterans' graves in Minnesota.

In another case that shows just how dangerous metal theft can be, Georgia Power was having a huge problem with thieves targeting a substation that feeds the entire Atlanta-Hartsfield International Airport, one of the busiest airports in the world. The airport was getting hit 2 to 3 times a week and surveillance didn't lead to any arrests.

Last winter, at a recreation center in St. Paul thieves stole $20,000 worth of pipe from the outdoor ice rink, causing the center to close until local businesses donated labor and materials to make the repairs.

This rise in incidents of metal theft across the country underscores the critical need for Federal action to crack down on metal thieves, put them behind bars and make it more difficult for them to sell their stolen goods.

Our Metal Theft Prevention Act will help combat this growing problem by putting modest record-keeping requirements onto the recyclers who buy scrap metal ..... limiting the value of cash transactions ..... and requiring sellers in certain cases prove they actually own the metal ..... The amendment also makes it a Federal crime to steal metal from critical infrastructure and directs the U.S. Sentencing Commission to review relevant penalties.

This amendment respects State law. Our intention is not to preempt State laws, so if a State already has laws on the books regarding metal theft, they would not apply the Federal law.

I realize that the majority of cases will likely continue to be handled by State and local law authorities, but the Federal government needs to be a strong partner, and the Metal Theft Prevention Act will send the clear message that metal theft is a serious crime.

The Metal Theft Prevention Act has been endorsed by the National Rural Electrical Cooperatives, American Public Power Association, APPA, American Supply, Edison Electric Institute, National Electrical Contractors Association, National Association of Home Builders, National Retail Federation, U.S. Telecom Association, and about a dozen other businesses and organizations.

It also has the support of the major law enforcement organizations--Major Cities Police Chiefs, Major County Sheriffs, National Sheriffs, Fraternal Order of Police and the National Association of Police Organizations. I would love to just bring this bill to the Senate after I have gotten it through the committee already in Judiciary, unanimously, but there are people still holding it up.

The Metal Theft Prevention Act will not come to a vote in relation to the bill currently pending before the Senate, but it must be a priority. We need to do everything we can to protect our critical energy industry infrastructure from unscrupulous metal thieves. And, I hope my colleagues will support the Metal Theft Prevention Act as well when it does come before the full Senate.

Again, I commend Senator SHAHEEN and Senator PORTMAN on their legislation to encourage energy efficiency. The bill would save consumers and taxpayers money through reduced energy consumption, help create jobs, make our country more energy independent, and reduce harmful emissions.

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